DELHI: The Department of Industrial Policy & Promotion (DIPP) has finalised the Cabinet note on relaxing norms for Foreign Direct Investment (FDI) in the construction development sector and hopes to place it before the Cabinet next week.

The proposed relaxations include reducing the three-year lock-in period for investments in housing & townships, bringing down minimum capitalisation norms and lowering minimum built-up area specifications.

“All comments received from various Departments and Ministries on the draft Cabinet note have been assimilated in the final note and we hope to submit it to the Cabinet next week,” the official said.

The construction development sector includes housing, townships and construction infrastructure. The FDI policy allows 100 per cent foreign investment in the sector, but there are several riders attached.

The Ministry of Housing and Poverty Alleviation had come up with a number of suggestions early this year to boost sagging FDI. These included doing away with the lock-in period for investments in housing and townships, reducing minimum capitalisation to $5 million from the present $10 million and bringing down minimum built up area to 20,000 sq meters from 50,000 sq meters.

Most of the proposals in the final Cabinet Note are based on recommendations made by the Ministry of Housing and Poverty Alleviation, the official said.

“All Ministries and Departments were more or less in agreement that riders need to be relaxed to attract more FDI in the sector. There have been small changes made to the original proposal made by the Housing Ministry, but these aren’t very significant. We have done the needful and hope that the Cabinet will take up the proposal soon,” the official said.

The construction development sector attracted about $22.24 billion FDI between 2000 and 2013 accounting for 11 per cent of the total FDI that came into India, but foreign investments in the sector started drying up since 2012.

DELHI: Plot owners in Udyog Vihar have renewed their efforts to get the state to impose a revision on the controversial property norms of the industrial area. The local association on October 23 lashed out at the industry authority HSIIDC, calling the latter’s demand for a special fee for transfer or leasing of plots illegitimate.

DELHI: Areas along NH-24—the region in the vicinity of trans-Hindon areas of Ghaziabad, Noida, and Greater Noida—have become a favoured destination for realty development with buyers flocking to the area for their affordable-range housing options. Even development authorities like the Ghaziabad Development Authority (GDA), the UP Awas Vikas Parishad, and Municipal Corporation of Ghaziabad have shown keen interest in developing the region and position it as an ideal residential destination.

DELHI: Housing sales have risen by 18 per cent in the Delhi-NCR region during the first half of this year at 35,000 units, showing signs of improvement in the property market that has been facing slowdown in demand.

DELHI: Real estate has emerged as a hot investment destination with banks, as projects in other sectors of the economy have faltered, prompting banks to rush to fund commercial realty despite slow demand and inventory pileup.

DELHI: Golf Course Road continues to dominate Gurgaon’s suburbs as the prime address for both residential and commercial property. It is followed closely by Golf Course Extension Road, which is emerging as yet another zone for luxury real estate and golf-themed projects.

DELHI: In the present era of Indian real estate, townships have become the most important model of real estate development in the foreseeable future. Blame infrastructure that has not stayed in tune with the actual real estate development in the large Indian cities. The citizens have become victims of intense chaos and lack of civic amenities.

DELHI: Home loans can be very beneficial for property buyers, as they not only help you buy your dream home, but also help you save on taxes. But you must remember to choose the right home loan if you do not want to face the hassles in the process. Here are a few quick tips that you could keep in mind while applying for a home loan. These tips could help ease the complicated procedure a little bit and at the same time help you save some money.